Individual Savings Accounts (ISAs) have revolutionised savings in the UK. After their initial trial period, the Government has confirmed that they are here to stay.

From November 2011, they are being extended to children (except those who were eligible for a Child Trust Fund).

Friendly Societies have been able to offer ISAs since the year 2000, and we were in at the start. Like our other tax exempt business, ISAs enjoy higher rates of bonus and therefore higher returns than traditional savings products, as we do not have to pay any tax on the interest and capital gains we make on the money you invest with us.

ISAs are also much more flexible than other forms of saving

• You can mix lump sums with regular savings
• You can stop premiums when you wish
• You can transfer Junior ISAs from one provider to another
• Each eligible child can have two types of Junior ISA at the same time, a Cash Junior ISA and/or a Stocks and Shares Junior ISA.
• You can choose a different provider for each type.
• There is a limit on the amount of money you can pay into the Junior ISA(s) in any one tax year namely, an overall maximum of £3,600*, split between the two types in any proportion.

So for example in one tax year, anyone could invest:

• £3,600 into a Stocks & Shares Junior ISA or
• £3,600 into a Cash Junior ISA or
• £1,800 into a Cash Junior ISA plus £1,800 into a Stocks & Shares Junior ISA or any other "mix", for example
• £1,200 into a Cash Junior ISA plus £2,400 into a Stocks & Shares Junior ISA

The metfriendly Junior ISA is a Stocks & Shares Junior ISA, not a Cash Junior ISA, but you can invest in a Cash Junior ISA elsewhere if you wish.

We are happy to answer any questions you may have on our ISAs or any other metfriendly product.

(*correct as at 1 November 2011 until 5 April 2013)